FTSE 100 watch: Footsie perks up after China data

on Jul 17, 2017

The UK benchmark index has kicked off the week on the front foot, finding support in strong miners, which have benefitted from better-than-expected growth data out of China, the world’s top metals consumer. ITV (LON:ITV) meanwhile has soared to the top of the FTSE 100 leaderboard after unveiling that easyJet’s (LON:EZJ) boss will become its next chief executive.

As of 12:18 BST, the Footsie had added 43.56 points to stand 0.59 percent higher at 7,421.95. The miner-heavy index has benefitted from a surge in resource stocks on the back of China’s upbeat gross domestic product data.
“Whilst there remains a high degree of scepticism over the accuracy of data points from the Far East, the initial reaction has been positive and attracted buyers into London-listed stocks with exposure to China,” said David Cheetham, chief market analyst at XTB trading, told City A.M. Glencore (LON:GLEN) is currently leading other blue-chip miners higher having added 2.06 percent to 323.10p.

In individual movers, ITV has gained ground after revealing that it had appointed Carolyn McCall, the chief executive of easyJet, to the top job.
“For ITV, we think the move suggests the company is comfortable with its strategic direction but her strong personal links should be helpful in several areas,” said Liberum analysts, as quoted by Reuters. Shares in ITV are currently changing hands 2.42 percent higher at 179.60p, while shares in easyJet have recovered following an initial fall and are now 2.05 percent up at 1,437.65p.
Royal Mail Group (LON:RMG) meanwhile is underperforming the broader London market, as a trade union rejected the group’s latest pension proposal. The postal operator’s shares are 0.71 percent down at 399.60p.
**The FTSE 100 was 0.53 percent up at 7,417.15 points as of 13:39 BST on Monday, July 17, 2017.**